Blue Sky Reports Phase I RC Drilling Results from Ivana Target on Amarillo Grande Surficial Uranium-Vanadium Project, Argentina
Terminal City Club Tower, Suite 312 - 837 West Hastings Street TSX Venture Exchange: BSK
Vancouver, BC CANADA V6C 3N6 Frankfurt Stock Exchange: MAL2
Tel: 604-687-1828 • Fax: 604-687-1858 • Toll Free: 1-800-901-0058 OTCQB Venture Market (OTC): BKUCF
www.blueskyuranium.com • [email protected]
NEWS RELEASE – June 19, 2017
Blue Sky Reports Phase I RC Drilling Results from Ivana Target on
Amarillo Grande Surficial Uranium-Vanadium Project, Argentina
Vancouver, BC / Marketwired / June 19 , 2017 / Blue Sky Uranium Corp. (TSX -V: BSK, F SE: MAL 2; OTC:
BKUCF), "Blue Sky" or the "Company") is pleased to report complete results from the Phase 1 reverse
circulation (RC) drilling program at Ivana, the first of three targets to be drilled in 2017 on the Amarillo Grande
uranium-vanadium project, in Rio Negro Province, Argentina.
This is the first drill program at the Ivana target, and it successfully outlined a large area of elevated uranium, within
twenty metres of surface, measuring approximately two kilometres square. Within this area multiple higher-grade
uranium–vanadium mineralized intervals were intercepted , predominantly in the west -central and east -central part
of the drilled area as shown on Figure 1. D elineating the dimensions and average grades of these potential
mineralized corridors will be a key priority of the next phase of drilling , as will testing for potential extensions,
particularly along the northeastern flank of the area drill-tested in Phase I.
A complete list of Drill hole highlights from Ivana is provided below in Table 1, including:
• 910 ppm U3O8 over 6.0m in AGI-88
• 626 ppm U3O8 over 6.0m in AGI-05
The planned 3,000 metre reverse circulation drill program is continuing. Drilling at the Anit target has been
completed, with a total of 1,170 metres in 83 holes. The drill rig is now being mobiliz ed to the Santa Barbara target
at the northwest end of the Amarillo Grande project.
"We are pleased to be making progress in understanding the controls on uranium -vanadium mineralization at
Amarillo Grande ” stated Nikolaos Cacos, Blue Sky President & CE O. “We look forward to the balance of results
from Phase I and to commencing Phase II.”
Ivana Drill Program Technical Summary:
The Ivana target is located at the southern end of the 140-kilometre long trend which comprises the 250,000 -
hectare Amarillo Grande project. This first RC drilling program at Ivana included 1,390 metres in 98 holes. The
drillhole locations and grade x thickness contours are shown on Figure 1 and can be viewed here
https://www.blueskyuranium.com/assets/docs/nr/8-BSK-Figure-1-NR-06-19-17.pdf. Uranium-vanadium
mineralization at Ivana is believed to be related primarily to carn otite mineralization, a secondary leachable
uranium mineral. Visible carnotite has been observed in a number of the drill holes completed to date. Sixty -five
percent of the holes completed at Ivana contained at least 30ppm U 3O8 over a minimum of 1.0 metre , with
uranium values ranging from below detection (<0.1ppm) up to 2,316 ppm U 3O8 (or 0.23% U 3O8), and vanadium
values ranging from below detection (<1ppm) up to 1,892 ppm V 2O5 (or 0.19% V 2O5). A complete list of
weighted average intervals for all holes w ith results above 30 ppm U 3O8 over >1 metre, as well as hole location
data is provided on Table 2 and can be viewed here : https://www.blueskyuranium.com/assets/docs/nr/8-BSK-
Table-2-Hole-Locations-Intervals-AGI-01-to-98-NR.pdf.
News Release June 19, 2017
Blue Sky Uranium Corp. Page 2
The current drilling at Ivana tested a 3.5 km by 2.0 km area that had been previously identified by the Company
through radiometric surveys, surface sampling and auger holes surveyed by radiometric probes. The RC drilling
program has shown that higher-grade uranium-vanadium mineralization appears to be open to the east and that
hole-to-hole continuity of mineralization is greater on the northeastern flank of the drilled area. Lithological drillhole
interpretation indicates that areas of elevated uranium -vanadium mineralization correlate with sand -rich domains
and that interfingered clay -dominant strata are much less likely to be mineralized. The drilling in this area of the
Ivana target has allowed the Company to compile stratigraphic sections of the pros pective sedimentary succession
above the basement which will be of assistance in ongoing exploration of the area.
Based on these positive results, the exploration team is preparing a follow -up exploration program for Ivana that
includes a second RC drilling campaign.
Drill hole highlights from Phase I drilling at Ivana are provided below in Table 1:
Table 1. Ivana Target Phase I Drill Hole Highlights
Hole # From To Interval U3O8 V2O5
(-90°) m m m ppm ppm
AGI-0004* 1 4 3 280 406
including 2 3 1 511 532
AGI-0005* 0 6 6 626 682
including 1 2 1 2087 1892
AGI-0016* 0 5 5 270 216
including 0 1 1 666 387
AGI-0025* 3 5 2 377 381
including 3 4 1 631 405
AGI-0027* 0 3 3 829 559
including 0 1 1 1473 721
AGI-0053 10 23 13 127 235
including 11 14 3 304 516
AGI-0054 17 20 3 271 48
including 18 19 1 480 41
AGI-0056 12 16 4 119 157
including 14 15 1 302 150
AGI-0058 15 18 3 356 69
including 17 18 1 502 79
AGI-0079 1 5 4 118 221
including 1 2 1 303 334
AGI-0087** 1 5 4 306 375
including 3 4 1 525 610
AGI-0088** 0 6 6 910 680
including 0 2 2 2182 1285
*Holes originally reported in news release dated March 28th, 2017. Results reported
here are corrected and supplant previous results. See additional information below.
**True width has not been estimated (drilled at -60°)
As reported in the news release dated March 28 th, 2017, drill holes AGI -1 to -31 were initially assayed by Alex
Stewart Assayers of Mendoza, but two of the five Blue Sky standards reported results below the acceptable range.
The Company undertook an extensive analytical quality review program, which included submitting check samples
to two different laboratories . Results from the check samples confirmed a low bias in some of the original sample
results and resulted in a change of laboratories for analysis of all samples reported herein, including re -analysis of
those previously assayed and reported in the Company’s March 28, 2017 news release. Preparation of all samples
reported herein was completed by Alex Stewart Assay ers of Mendoza, Argentina . Samples were prepared by
drying, crushing to 80% passing 10mesh and then pulverizing a 600g split to 95% passing 106 microns. Pulps were
analyzed by Bureau Veritas Commodities Canada Ltd. for 45 elements by means of Inductively Coupled Plasma
News Release June 19, 2017
Blue Sky Uranium Corp. Page 3
Mass Spectrometry following a four -acid digestion ( MA-200). Approximately every 10 th sample a b lank, duplicate,
or standard sample was inserted into the sample sequence for quality assurance/quality control (QA/QC) purposes.
Blue Sky is c onfident in the results reported herein and will continue to monitor results to ensure best practice
quality control and quality assurance requirements.
The drilling program been carried out using an ROC L8 drill rig from Atlas Copco, an ore -control track-mounted rig
adapted to reverse circulation with double cyclone in order to reduce the dust loss during sampling. Every hole was
surveyed by a senior geophysicist from Geopehuen SRL Service Company us ing a natural gamma probe from
Geovista Ltd. The probe was previously calibrated at the Comisión Nacional de Energía Atómica facility (Atomic
Energy National Commission, CNEA).
About the Amarillo Grande Project
This new uranium district was first identified, staked and underwent preliminary exploration by Blue Sky from 2007
to 2012 as part of the Grosso Group’s strategy of adding alternative energy focus to its successful portfolio of
metals exploration companies. The close proximity of several maj or targets suggest that if resources are delineated
a central processing facility would be envisioned. The area is flat -lying, semi-arid and accessible year round, with
nearby rail, power and port access.
Mineralization identified to date represents a Sur ficial Uranium style of deposit, where carnotite mineralization coats
loosely consolidated pebbles of sandstone and conglomerates. Carnotite is amenable to leaching, and preliminary
metallurgical work indicates that the mineralized material can be upgraded using a very simple wet screening
method. The near -surface mineralization, ability to locally upgrade, amenability to leaching and central processing
possibility suggest a potentially low-cost development scenario for a future deposit.
Blue Sky believes the mineralization that has been discovered through the work to date at Amarillo Grande can be
classified as Surficial -type uranium. Examples of Surficial uranium deposits include Langer Heinrich in Namibia,
which has Proven and Probable ore reserves and stockpiles totalling 118.87 Mlb at an average grade of 520 ppm
U3O8 and produces approximately 4 Mlb per year 1, and Toro Energy Limited’s development -stage Wiluna project,
which has Measured and Indicated resources totalling 66.6 Mlb within 10 metres of surface at an average grade of
525 ppm U 3O8.2 Wiluna consists of 5 separate deposits within a 100 -kilometre district in western Australia and
projected to operate with a centred concentration plant.
About Rio Negro Province
Rio Negr o is host to several facilities related to the nuclear industry. Furthermore, the Provincial government is
recently launched in conjunction with the Federal government the construction proposal of the 5 th Nuclear Plant in
Argentina at its territory. T his i s the concretion of the Strategic Plan 2015 -2025 as published by the Argentina
Atomic Energy National Commission (CNEA), which includes a strategic objective "To ensure the supply of
domestic uranium for nuclear power plants in operation, under construction and planned."
For additional details on the project and properties, please see the Company’s website: www.blueskyuranium.com
Qualified Person
The results of the Company's drilling program have been reviewed, verified (including sampling, analytical and
test data) and compiled by the Company's geological staff under the supervision of David Terry, Ph.D., P.Geo.
Dr. Terry is a Director of the Company and a Qualified Person as defined in National Instrument 43-101. The
contents of this news release have been reviewed and approved by Dr. Terry.
1 www.paladinenergy.com.au
2 www.toroenergy.com.au
News Release June 19, 2017
Blue Sky Uranium Corp. Page 4
About Blue Sky Uranium Corp.
Blue Sky Uranium Corp. is a leader in uranium discovery in Argentina. The Company's objective is to deliver
exceptional returns to shareholders by rapidly advancing a portfolio of surficial uranium deposits into low -cost
producers. Blue Sky holds has the exclusive right to over 428,000 hectares of property in two provinces in
Argentina. The Company’s flagship Amarillo Grande Project was an in-house discovery of a new district that has the
potential to be among the first domestic suppliers of uranium to the growing Argentine market. The Company is a
member of the Grosso Group, a resource management group that has pioneered ex ploration in Argentina since
1993.
ON BEHALF OF THE BOARD
“Nikolaos Cacos”
______________________________________
Nikolaos Cacos, President, CEO and Director
For further information please contact:
Corporate Communications
Tel: 1-604-687-1828
Toll-Free: 1-800-901-0058
Email: [email protected]
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exc hange) accepts
responsibility for the adequacy or accuracy of this release.
This news release may contain forward -looking statements including but not limited to comments regarding the timing and content of upcoming work
programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events
and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those curren tly anticipated in such
statements. Readers are encouraged to refer to the Company's public disclosure documents for a more detailed discussion of factors that may impact
expected future results. The Company undertakes no obligation to publicly update or revise any forward -looking statements. We advise U.S. investors
that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits
on adjacent properties are not indicative of mineral deposits on our properties.